McDonald’s Corporation [NYSE: MCD] shares went higher by 0.24% from its previous closing of $194.48, now trading at the price of $194.95, also adding 0.47 points. Is MCD stock a buy or should you stay away?
The stock had a rather active trading session with the latest closing, by far recording 1.25 million contracts. Compared to the average trading volume of MCD shares, the company saw a far better performance. Moreover, the stock has a 752.26M float and a +1.47% run over in the last seven days. MCD share price has been hovering between $221.93 and $169.04 lately, and is definitely worthy of attention.
McDonald’s Corporation [NYSE:MCD]: Analyst Rating and Earnings
Its stock price has been found in the range of 169.04 to 221.93. This is compared to its latest closing price of $194.48.
Keep your eyes peeled for the next scheduled financial results to be made public for this company, which are scheduled to be released on Wed 29 Jan (In 58 Days).
Fundamental Analysis of McDonald’s Corporation [MCD]
Now let’s turn to look at profitability: with a current Operating Margin for McDonald’s Corporation [MCD] sitting at +40.84 and its Gross Margin at +51.30, this company’s Net Margin is now 28.10%. These measurements indicate that McDonald’s Corporation [MCD] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 33.61, and its Return on Invested Capital has reached 28.20%. Its Return on Assets is 17.79.
Similarly, its Total Debt to Total Capital is 125.22, while its
What about valuation? This company’s Enterprise Value to EBITDA is 17.55 and its Total Debt to EBITDA Value is 3.09. The Enterprise Value to Sales for this firm is now 8.46, and its Total Debt to Enterprise Value stands at 0.18.
Shifting the focus to workforce efficiency, McDonald’s Corporation [MCD] earns $100,120 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 9.52 and its Total Asset Turnover is 0.63. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.35 and its Current Ratio is 1.36. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
McDonald’s Corporation [MCD] has 760.14M shares outstanding, amounting to a total market cap of $147.83B. Its stock price has been found in the range of 169.04 to 221.93. At its current price, it has moved down by -12.16% from its 52-week high, and it has moved up 15.33% from its 52-week low.
This stock’s Beta value is currently 0.46, which indicates that it is 1.15% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 47.42. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is McDonald’s Corporation [MCD] a Reliable Buy?
Shares of McDonald’s Corporation [MCD], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.